Wolseley proposes £350m special dividend

Plumbing giant Wolseley posted a 10 per cent rise in full-year profit this morning, proposing a special dividend of £350m.

Trading profit for ongoing businesses at Wolseley, which operates the Plumb Centre and Ferguson chains in the UK, was £658m, 10.4 per cent ahead of last year.

Revenue from ongoing businesses was 5.4 per cent up year on year at £12,716m.

Chief executive Ian Meakins said this morning: “Wolseley continues to be highly cash generative and we have adequate resources to fund future investment in the business alongside growth in ordinary dividends.

“We are today proposing a special dividend of £350 million which reflects the group's strong financial position and our desire to maintain an efficient and sustainable balance sheet."

He added that demand across Wolseley’s markets remains “mixed” although he was confident that the firm could make “good progress in the year ahead”.